The Congress on Monday said granting a six-month extension to the Securities and Exchange Board of India (SEBI) to complete its probe into the alleged stock price manipulation by the Adani group may create the perception the investigation is not being seriously pursued but being “buried”. The Market Regulator SEBI has moved the Supreme Court seeking the extension to complete its investigation. Congress chief spokesman Jairam Ramesh said a Joint Parliamentary Committee (JPC) probe is needed to fully investigate the Adani issue, but a speedy SEBI investigation is also required to get to the bottom of the “very serious allegations”. The top court had on March 2 asked the SEBI to probe the matter within two months and also set up a panel to look into the protection of Indian investors after a damning report by a US short-seller wiped out more than USD 140 billion of the conglomerate’s market value.

“SEBI has found many irregularities worthy of investigation in the Adani Mega Scam, and we urge it to pursue each lead to its logical conclusion. But a long six-month extension risks the perception that the investigation is not being vigorously and seriously pursued but is being buried, as happened with at least two previous SEBI investigations into the Adani Group,” he said.

“India needs a JPC to fully investigate Modani, but it also needs a speedy SEBI investigation to get to bottom of very serious allegations,” Ramesh added, attacking the Prime Minister.          

In an application moved before the court, the SEBI has submitted it would take six more months to ascertain possible violations related to misrepresentation of financials, circumvention of regulations and/or fraudulent nature of transactions.